“Is Dhaka Stock Exchange (DSE) efficient in weak form after introducing new indices from 2013?”

Testing the Efficient Market Hypothesis (EMH) is considered one of the center points of modern financial economics. This research seeks to test the weak-form market efficiency of the Dhaka Stock Exchange (DSE) after the introduction of new indices from 2013 using DSE Broad Index (DSEX), DSE Shariah Index (DSES) and DSE selected 30 Index (DS30). Besides the primary objective of testing whether the Dhaka Stock Exchange (DSE) market shows efficiency in weak form or not i.e. market follows a random walk model or not after the introduction of new indices from 2013, this paper also widens its analysis on to test the impact of institutional factors in analyzing the volatility in the market and in exploring the relationship between risk and return.